Avanti Communications Share Discussion Threads

[volvo] 09/2/2012 17:17

Agreed, just posted to give some clarity with Williams quotes, to number of satelites, main market listing, no more equity fundings etc etc.

Also agree with the earlier poster, nowt doing here until everyone squares their positions, should happen next week with the new shares in play the week after.

This often happens with a funding, then its 400p before your know.

[colva] 09/2/2012 16:57

VOLVO ,

The last bit of the FT piece isn't the whole story , "The company expects revenues of £17m for its full year to the end of June."


From the chairman's statement,

"For the year ended 30th June 2012, we have clear visibility on revenues of £17 million for the year. We are bidding on contracts or they are under negotiation which could increase revenues materially."

[volvo] 09/2/2012 14:27

FT

February 6, 2012 11:53

Avanti secures financing for third satellite

By Maija Palmer, Technology Correspondent



Avanti Communications is planning to become one of very few space-related companies listed on the main market of the London Stock Exchange, after securing financing for the launch of its third satellite.

David Williams, chief executive, said the Aim-quoted company that provides broadband internet services to remote areas via satellite, would seek to move to the main market in early 2013. The company would join Inmarsat as the only other main-market listed satellite operator in the UK.


"Moving off Aim on to the main list is something that some of our shareholders care about a great deal," Mr Williams said.

His comments came as Avanti announced that it had raised £75m through a share placement with new and existing shareholders, such as Caledonia and M&G. It did not disclose any new shareholders. The money will fully fund the company's third communications satellite, which will be launched into space together with a new scientific satellite from the European Space Agency.

"Three satellites will give us a pretty resilient fleet, and this will be the last satellite that will be paid for through equity fundraising," said Mr Williams. "Any subsequent satellites will be financed from debt and cash inflows."

Avanti owns enough spectrum to operate about 12 satellites, Mr Williams said, but no plans were announced for further launches.

Avanti is looking to exploit a niche in the broadband market by providing services to remote areas where it is difficult or too expensive to build a fixed-line telecoms network. The company has a contract with BT, for example, to bring internet broadband to the telecoms company's customers in Cornwall and the Scilly Isles in the UK.

Avanti only launched its first satellite, Hylas 1, in November 2010, and has so far filled about a third of the satellite's capacity. A second satellite is expected to be launched in June or July this year.

Some analysts have been sceptical about how much demand there would be for the broadband via satellite offering, which is seen as more expensive and slower than fixed-line broadband. However, Avanti brought forward its forecasts for orders on Monday, saying that it expected to fill capacity on the second satellite within four years, rather than five as originally predicted.

"Bringing forward the revenues from Hylas 2 is very important as it shows a lot of confidence,"said Mike Jeremy, head of research at broker Daniel Stewart.

Avanti's revenues quadrupled to £5.1m in the six months to the end of December, after starting commercial services on Hylas 1 in March last year, but still made a loss of £5.2m due to the heavy costs associated with the start-up phase of launching satellites. The company expects revenues of £17m for its full year to the end of June.

[garymott] 09/2/2012 13:39

Supposedly Greek politicians have reached an austerity deal. Knowing our luck, another reason for a drop in the Avanti sp! :-(

[1976yol] 09/2/2012 12:37

In regards to the ESA situation it depends on the contracts signed.

1st post yes been reading the hype for years though.

[someuwin] 09/2/2012 11:55

Been adding a few of these. With only 5 months till launch I expect to see a significant move upwards.

[blue forever] 09/2/2012 10:33

Don`t expect much to happen until new shares are admitted for trading on the 23rd,then who knows as quite a big dilution.

[cancun tango] 09/2/2012 10:23

This is getting predictable, the graph should now bang its head against the opening price and fall off a little, repeat that a few times before falling later on and having a fit right before closing 1p lower!

[volvo] 09/2/2012 08:35

I would agree that 3 satalites will be it, because by then Avanti will no longer be Avanti, it will be bought out within the next 2/3 years, for certain, maybe sooner, and Willams and the other directors will be working with new much larger paymasters. dyor

[yorgi] 08/2/2012 22:48

I'm still in Chrissey......but very very disappointed in the share price performance and quite frankly I'm at a loss to understand why.....and at loss in ££££

EDIT

Reading the BB of course......but just not commenting recently.

[chrissey] 08/2/2012 22:46

yorgi is quiet, maybe moved on huh, try luck elsewhere.

[count chris] 08/2/2012 22:45

Again I'm not on my PC where my notes are but from memory H3 was going to be a copy of H2 - they said it would save money having them built the same but now it seems it's the same spec as H1 and therefore half the capacity. Maybe this way is quicker so they can get the extra capacity up before H2 sells out a year ahead of schedule?

[geheimnis2] 08/2/2012 22:16

It is wrong cc

Avn are not going to raise further funding in current market conditions ie the share price is too low.

I am sure there will be more satellites

[count chris] 08/2/2012 22:11

Last paragraph isn't encouraging - surely it's wrong when it says there are no plans beyond H3 though?

[geheimnis2] 08/2/2012 22:05

Do you have any evidence that capacity is halved?

[count chris] 08/2/2012 22:02

Little write up on the Express website says it'll be used by the military. Also says the deal halves the cost of H3 which goes someway to offset the disappointment that the capacity will also be halved.

[davyofthecity] 08/2/2012 19:30

Do you think the last trade listed on the day is a sale or buy?

[jim150] 08/2/2012 19:18

ESA is an inter Governmental agency so I would say ESA and military mix...could be a result of the licence conditions . On H1 they had to provide Ku band tv transponders I think as a licence condition.

[volvo] 08/2/2012 18:35

......are you joking, the ESA has ben mixed up with the military (all of em) since its evolution...........FACT.

[sg31] 08/2/2012 15:54

Why wouldn't they mix? Why would AVN even have to disclose their customers identity,it is commercially sensitive info. They almost certainly not given ESA any control of the use to which their bandwidth is put.
Even if they did H2 could be used for military traffic and H3 for commercial

Nice try though...1st post ever.

[1976yol] 08/2/2012 15:08

ESA and Military do they mix????? I think there maybe an issue.

[someuwin] 07/2/2012 22:27

Just means they can move onto Hylas-4 quicker. Then Hylas-5 ...etc...etc.

[count chris] 07/2/2012 22:22

Hang on - I'm also pretty sure H3 was supposed to 8GHz to be sold out in 5 years notes on my PC which I'm not on so can't check). If I'm right selling 4GHz in 4 years means sales will be significantly slower than planned and the ultimate revenue will be halved. Hope I'm remembering wrong.

[backmarker] 07/2/2012 19:18

primed for breakout from the wedge.

if it breaks downwards I'll cry and stamp my feet and just believe it's not true.

[backmarker] 07/2/2012 19:16

GaryMott,

good points.